Benzinga | Oct 21, 2020 10:10AM EDT

Earnings Outlook For Allegion

Allegion (NYSE: ALLE) announces its next round of earnings this Thursday, October 22. Here is Benzinga's everything-that-matters guide for this Thursday's Q3 earnings announcement.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings, also known as net income, is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Analysts predict Allegion will report earnings of $1.19 per share on revenue of $666.04 million. Allegion earnings in the same period a year ago was $1.47 per share. Quarterly sales came in at $748.30 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

If the company were to match the consensus estimate when it reports Thursday, EPS would have fallen 19.05%. Revenue would have fallen 10.99% from the same quarter last year. The company's reported EPS has stacked up against analyst estimates in the past like this:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019EPS Estimate 0.84 0.89 1.29 1.32EPS Actual 0.92 1.04 1.28 1.47Revenue Estimate 610.80 M 657.79 M 733.46 M 738.56 MRevenue Actual 589.50 M 674.70 M 719.50 M 748.30 M

Stock Performance

Over the past 52-week period, shares of Allegion have declined 6.76%.